NBC teams up with IFC to graduate SMEs into industrialists

19Jul 2019
Beatrice Philemon
Dar es Salaam
The Guardian
NBC teams up with IFC to graduate SMEs into industrialists

NATIONAL Bank of Commerce has teamed up with World Bank’s commercial lending arm, International Finance Corporation to review lending arrangements of small and medium size enterprises in order to assist them graduate into industrialists.

Tanzania Investment Centre Eastern Zonal Manager, Venance Mashiba (4th L) and NBC’s acting Head of Retail, Gaudence Shawa (2nd R), cut a ribbon to officially launch the bank's new Tegeta branch in the outskirts of Dar es Salaam yesterday. Looking on from left are: NBC Director of Corporate Banking, Linley Kapya; Chief of Staff and Strategy, Joyce Mbago; Chief of Finance, Waziri Barnabas and Tegeta Branch Manager, Edward Chibombo. Photo: courtesy of NBC.

NBC Managing Director, Theobald Sabi said in Dar es Salaam this week when opening the bank’s 51 branch at Tegeta in the outskirts of the city, that in recognition of the SMEs importance in implementing government’s industrialization agenda, the bank has already loaned 3,000 SMEs over 155bn/- between 2016 and march 2019.

“Because of the importance of this group, NBC in partnership with International Finance Corporation has undertaken a review of the whole process of giving out loans to this group. In a few days to come, NBC will come up with a better way of serving SMEs,” Sabi said in a speech read on his behalf by NBC’s Director of Finance, Gaudence Shao.

He said the country’s third largest bank by net asset value, deposits and branch network, is targeting to graduate most SMEs into agro-processors, recyclers and manufacturers of goods using commodities as raw materials.

“NBC strongly supports government’s efforts to industrialise the economy and take the nation to middle income status by 2025,” the NBC chief added while stressing that the bank has also widely given loans to existing large scale industries.

Highlighting on the new Tegeta branch, Sabi said it is implementation of part of the bank’s long term strategic plan to improve services by taking them closer to customers countrywide with modernization of technology.

“With this new branch, it will be easy for our customers to access banking services at their convenience by getting personal contact with our experts to get financial counselling and business management,” he stated.

NBC which was privatised in 2000 to South Africa Absa Group Limited which has a controlling stake of 55 percent is also owned by Treasury which retains 30 percent while IFC has 15 percent.